Criteria

ASSET CHARACTERISTICS

A, B, and C class assets with an average market rent between $500 and $1,500 per month1. For operating efficiency Ackermann is targeting properties with a total gross income of at least $1 Million per year.

Medium sized properties valued from $5 to $35 Million consisting of 150 – 450 units.

Competitive property amenities are essential.

MARKET CHARACTERISTICS

A and B class location with quality lifestyle amenities. Key economic drivers providing strong employment such as state capitals, markets with multiple colleges and universities and markets with significant healthcare employment. Metropolitan markets and submarkets within 150 miles of Cincinnati: Cincinnati Lexington Indianapolis Columbus Louisville

DEBT AND EQUITY EXPECTATIONS

The fund will leverage its equity by financing approximately 70% or 80% of the total cost to acquire each asset.
Permanent, fixed rate, non-recourse debt with terms of five to ten years and amortization schedules of 25 to 35 years. Short term recourse debt with terms of 12 to 36 months if required to secure an opportunity.
As properties appreciate in value, there may be opportunities to refinance the existing debt allowing the fund to return a portion of the investor’s equity.

INVESTMENT CYCLE EXPECTATIONS

The typical life of an apartment investment is between five and ten years. An earlier sale is possible if the target return can be achieved.
Initial cash-on-cash returns targeted above 8%.
Long-term cash-on-cash returns targeted above 10%.
Internal rate of return for the investment after the sale of the property over a period of three to ten years is targeted between 12% and 15%.

1Certain investments may fall outside this range.

Featured Property

  • Maple Oaks Estates

    Maple Oaks Estates islocated one mile from the Middletown interstate 75 interchange. Maple Oaks benefited from consistent growth at the interchange with the addition of the Atrium Medical Center a 250 bed hospital and state of the art medical campus as well as a desirable mix of retail and restaurant services. Read More...
  • Bayberry Place Townhomes

    Bayberry Place Townhomes is located in the northeast Columbus submarket. The location offers quick access to local Interstates Read More...
  • Catalina Club Apartments

    Catalina Club Apartments are considered a “B+” class apartment community in an “A” class neighborhood. Read More...